ICAP Capped by Regulatory Risks

By

Helen Thomas

April 9, 2013 2:01 p.m. ET

ICAP last month characterized trading activity as "fragile and unpredictable." The same could be said of the interdealer broker's own prospects.

A U.S. investigation into possible manipulation of a benchmark for interest-rate swaps managed by ICAP adds to the fog around the company, which acts as middleman in some $1.5 trillion of daily trading in rates, foreign exchange, commodities, credit and stock derivatives.